Yes, at this point they are. Part of the reason for that is that there have been no degree verification processes in these developing countries and so the mills have been able to operate unchecked. The tide is turning though and it is slowly, slowly becoming more difficult for them. They will never go away entirely but educating the public, enforcing the law and simply paying attention to this issue is part of the solution.
Here's another example

In a world where even many HR professionals don't understand the basics of university accreditation it is unrealistic to expect that the average person with a LinkedIn profile will recognize a milled degree when they see one. Ongoing public education , most often in the form of news articles regarding degree mills and fake degrre holders are a part of any long-term solution. So it's not that being open and transparent makes it OK, it's the ignorance of the readers that make it OK.

Argosy University

Argosy University

Argosy offers online Bachelor's, Master's and Doctorate in Business Administration, psychology, and HR-related degrees, with many specialty degrees, including organizational psychology, exercise psychology, HR, public administration, higher education administration, and many more.

Argosy also offers the same degrees and more from 19 locations across the U.S., and is a leader in the distance/online education field.

Argosy has one of the largest graduate student communities in the nation, and is regionally accredited, the most widely recognized accreditation.

GW University is a prestigious and well regarded school. Established in the heart of the nation's capital in 1821, GW provides innovative programs in more than 200 fields of study, including graduate certificate, master's and doctoral programs. Under the guidance of a world-renowned faculty, you will explore both theory and practice in courses that prepare you to meet the needs of an increasingly complex society.